Mobile payment processor, Stripe, is slowly going to phase out its Bitcoin payment services. Over the next three months, Stripe will discourage and ask its customers to migrate from Bitcoin payments and then, completely close off the service.
Stripe first came into notice in 2015 when it fully integrated Bitcoin payments, and encourages its users to do the accept Bitcoin payment. The time seemed promising with the hope that impending acceptance of Bitcoin as payment.
Stripe noted that with time they hoped for Bitcoin to become a mode of payment, but now it cites that slow transaction time and higher fees has led to the abandonment of Bitcoin payment,
“This has led to Bitcoin becoming less useful for payments, however. Transaction confirmation times have risen substantially; this, in turn, has led to an increase in the failure rate of transactions denominated in fiat currencies. (By the time the transaction is confirmed, fluctuations in Bitcoin price mean that it’s for the “wrong” amount.) Furthermore, fees have risen a great deal. For a regular Bitcoin transaction, a fee of tens of U.S. dollars is common, making Bitcoin transactions about as expensive as bank wires.”
Stripe is not abandoning cryptocurrencies but believe that BItcoin is more of an asset now rather than payment network. Over the past years with its block size limit, BItcoin might suit more as an asset and it’s hard to quibble with the decisions that have with made by the Bitcoin community.
Max Keiser, who sees Bitcoin as Gold 2.0, believes Dash is a more viable payment mode than BItcoin. While Stripe believes there are many options available,
“OmiseGO is an ambitious and clever proposal; more broadly, Ethereum continues to spawn many high-potential projects. We may add support for Stellar (to which we provided seed funding) if substantive use continues to grow. It’s possible that Bitcoin Cash, Litecoin, or another Bitcoin variant, will find a way to achieve significant popularity while keeping settlement times and transaction fees very low.”
Stripe is open to bring back Bitcoin payment, with Lightning Network working its way to make Bitcoin payment viable again. All eyes are set for this project to work through, lightning better strike soon.